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Session Recap: The unbeatable Dollar

FXstreet.com (San Francisco) - To infinity... and beyond! It seems to have said the Greenback as it outperformed its major competitors on Thursday. After a Wednesday's reversal on initial reaction to the Fed resilience to provide a factual signal that tapering will start soon. On Thursday, the USD rallied in a good news cocktail.

Upbeat Jobless and manufacturing PMI data, strong rally in stocks, good corporate earnings reports and hints that the Non Farm Payrolls data will come above expectations provide the notion that the US economy is in better shape than expected and the Federal Reserve will start to cut bond buying in the short term.

The EUR/USD declined from 1.3300 levels to close around 1.3200. The GBP/USD performed its fifth negative day in row and extended losses to price close the 1.5100 area. The USD/JPY posted its best day in July and climbed around 200 pips from 97.65 to break above the 99.00 area and close at 99.55.

The USD/CAD advanced to a 1-week high at 1.0350 while the AUD/USD continued with its set-back toward prices not seen in years. The AUD/USD collapsed for fourth day in row, today the Aussie traded at 0.8905, lowest since August 2010.

Main Headlines in the American Session

US: Initial Jobless Claims fell to 326K

US: Markit Manufacturing PMI rose to 53.7 in July

ECB's Draghi reiterates last month's forward guidance on rates

Full introductory statement from Draghi

US Markit Manufacturing PMI: 53.7 in July

US: July ISM Manufacturing PMI at highest level since April 2011

US: Construction Spending drops 0.6% in June, against forecasts

Economic data & the Fed fuel Wall Street's rally; S&P above 1,700

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